A preview of medical marijuana industry coming to Pennsylvania

WOODBRIDGE, N.J. - Sarah Drum saw the medical marijuana industry coming to New Jersey and jumped at the chance to be there from the beginning.

Her workplace, a former chain electronics store, used to be the place people came to buy televisions and DVD players. But last year, nearly 2,700 patients with glaucoma, multiple sclerosis, terminal cancer, epilepsy and many other conditions came here for relief in the form of medical marijuana."When I heard the industry was coming to New Jersey, it's something I wanted to be a part of," said Drum, production manager for Garden State Dispensary. "A whole new medical field was coming here. You feel like there's something moral about it, being able to help introduce people to something that can help them."I still feel like we're definitely at the initial stages of the industry as a whole."Drum was one of many employees working Thursday at Garden State Dispensary, which opened in November 2013. The employees were selling medical marijuana strains such as Sour Diesel and Death Star. They were cultivating clones from mother plants. After waiting days for those plants to dry, they were trimming and packaging them so they looked just right.Officials with the New Jersey dispensary and grow facility hosted several journalists from Pennsylvania last week, and the trip was billed as a preview of sorts.The team that brought the nonprofit Garden State Dispensary to New Jersey is planning an even larger medical marijuana facility in Reading at 1800 Centre Ave.Last week, the group, Franklin Labs LLC, won one of the two exclusive licenses from the state to grow and process medical marijuana in the southeast region. The applicant that won the other permit also plans to build in Berks County."We want to let patients know they can get the same quality, pharmaceutical-grade cannabis that they can get in California, Colorado, Washington, Oregon," said Aaron J. Epstein, general manager and general counsel for the dispensary.New Jersey's medical marijuana program may still be in its beginning phases, but Pennsylvania's is in its infancy. The top executive for Franklin and others said there's plenty to be learned from their head start in New Jersey and other states.The industry, they conceded, is still new, but they said they are ready to grow in Berks.

The dispensary

Garden State Dispensary's first noticeable feature is its security.

The dispensary where medical marijuana is sold is in a separate room from the entrance, and patients need to be buzzed in from the front. Then, there's a retina scan to enter the grow facility, and the 68 cameras that mark the campus. Armed security is on site every minute the building is open.John Pohlhaus, CEO of Franklin Labs, was among the officials on the tour last week and said there are some important differences between the New Jersey facility and the one that will be built in Reading.In New Jersey, medical marijuana can be grown and sold in the same building. In Pennsylvania, the medicine is made in one place and bought in separate dispensaries. Pennsylvania's Health Department is expected to announce who gets to run those dispensaries this week.New Jersey's medical marijuana law also allows dispensaries to sell products that can be smoked or vaporized. The end products from Reading will only be pills, oils, topical forms and tinctures.Pohlhaus said between 25 and 30 people will work in the Centre Avenue facility that housed the Pepsi distribution center that closed last year. He said the location fits with the company's goal to provide medical marijuana to dispensaries throughout Pennsylvania."I think we're going to help revitalize a portion of Reading's economy," he said.Many from the Franklin Labs team have personal stories about loved ones who could have benefited or did benefit from medical marijuana, Pohlhaus said. He lost an aunt to cancer, and he said medical marijuana helped ease some of her symptoms.Medical marijuana may be an entrepreneurial opportunity, but it also is a personal one, he said."We really don't know if it will ever go recreational," he said. "We're really designed for a medical facility."

The flowering room

Epstein, the general manager, is standing under a bright light in the dispensary's upper floor.

To get to this point, the marijuana plants have been cloned from a mother plant and closely monitored in a room that accounts for temperature, light, carbon dioxide and a host of other variables. Once they are brought upstairs, it's flowering time.Light, shining in 12-hour cycles, allows them to do just that."You look at these little crystals," Epstein says, pointing to a single marijuana plant in a room featuring rows and rows of them, "that's where the medicine is."Epstein is a lawyer by trade who watched the growth of the medical cannabis industry and saw an opportunity. As it stands, 29 states and the District of Columbia have legalized medical marijuana.The industry is heavily regulated, he said, and heavily regulated fields need lawyers.But it also provides an opportunity to help people who really need it. He said addressing America's opioid crisis is just one example."Because of the research ban on cannabis, there is not a lot of data to support the reduction of opiate usage for patients in the medical cannabis program," he said. "With that being said, we have seen from our patients in this dispensary a significant reduction in opiate use when they have come to us for pain management."

Much to learn

Medical marijuana has been stuck in limbo for decades.

Its proponents say the drug clearly helps people with debilitating diseases get relief.Still, its medicinal merit has not been studied as rigorously as other drugs have been. Research is limited as marijuana remains a Schedule I drug alongside heroin, LSD and ecstasy, according to the federal Drug Enforcement Administration."I also see and understand both sides," said Monica B. Taing, the dispensary's patient experience manager and resident pharmacist. "Like any other prescription drug, there are side effects. It's all about monitoring the patient's therapy and following up."Taing's role at the dispensary goes beyond training counselors to meet with patients. She's working on new research and study designs to learn more about marijuana's medicinal qualities and how it interacts with other drugs.She also talks with hospital officials and doctors because they have a lot of questions about how to approach medical marijuana in patient care."They just have no idea," she said. "It's not covered in medical school. I was fortunate to have a unique experience when it was covered in school but it's not typically covered. I'm constantly consulting doctors about how to safely administer it, what the side effects are."

Employees detail-oriented

Drum, the production manager, and the other workers at Garden State Dispensary say the job requires an eye for detail.

Epstein said it's an opportunity for students with a background in horticulture. Veterans coming home from conlflict also have a knack for the work, he said.The Berks facility will have about 30 jobs from executives to entry-level positions that start at about $15 an hour.Marcus Rountree, a cultivation technician, said his work involves cloning, plant shaping, light, temperature and watching over many other variables."I've spent the last two months with these plants," he said. "Each plant here has its own identity even though it's a clone of another plant."Added Rebecca Keller, another cultivation technician: "You see something you grew yourself and that's something that can help patients, that's really rewarding."

10,000-plus have access

The dispensary tour clocks in at just under two hours and one thing is clear: The workers at Garden State Dispensary and Franklin Labs want to see patients get access to medical marijuana.

"This is an incredible opportunity to help people," Pohlhaus said.In New Jersey, more patients than ever are getting access to the drug. The state's medical marijuana patient count doubled last year to over 10,000, according to a state report on medical marijuana.In Pennsylvania, there's a lot of work left to get to that point. The state Health Department has set a goal of mid-2018 to get its program off the ground.Behind the scenes, the Health Department is working to implement the law. This week, the winning dispensaries will be announced, and the growers and dispensaries will have six months to get up and running.Then, there are the doctors who will need to register in the program. They will require training to know when to send patients to a dispensary with a note.The Pennsylvania Medical Society, the lobbying group for the state's doctors, came out strongly against the state's medical marijuana bill before its passage, citing the lack of federal research supporting it.Through a spokesman, the group declined to comment for this story.

Prices not public

Cost is the final question.

During the tour, Epstein said he could not offer a price for the dispensary's medical marijuana, citing state restrictions.Other Pennsylvania growers were reluctant to talk about costs."I think it's premature," said Keith Morgan, chairman of Holistic Farms, when asked about the cost of medical marijuana.Holistic Farms had an unsuccessful bid to bring a grower/processor plant to West Pottsgrove Township, but the company was approved for a facility in the northwestern region."It's pure speculation, but it's a function of market forces, competition," he said. "But I think something like this is going to be accessible for the vast majority."Luke Shultz of Bernville was not on the tour, but he's watching the next phase closely.Shultz is one of the area's most vocal advocates for medical marijuana after dealing with years of chronic pain.He said medical marijuana can't help the patients if they can't afford to pay for it."Cost is an overriding concern with all patients, because the reality is that people who are sick, suffering and dying spend so much on medical costs," he said.Medical marijuana is not covered by insurance so patients will be paying the full cost.But there's room for optimism, Shultz said, because Pennsylvania has never been this close to making medical marijuana a reality."It's going to be a real hardship and a real struggle at first," he said. "But we will have good products and we won't have to buy it off someone from the street. It will be nice to know these products are thoroughly lab-tested and have quality controls."

About medical marijuana

When was it legalized? Act 16 was signed into law in April 2016, legalizing a medical marijuana program in Pennsylvania.

What ailments are covered? Pennsylvania's program allows doctors to prescribe medical marijuana for 17 ailments:

Amyotrophic lateral sclerosis, or ALS

Autism

Cancer

Crohn's syndrome

Damage to the nervous tissue of the spinal cord with objective neurological indication of intractable spasticity

Epilepsy

Glaucoma

HIV/AIDS

Huntington's disease

Inflammatory bowel disease

Intractable seizures

Multiple sclerosis

Neuropathies

Parkinson's disease

Post-traumatic stress disorder

Severe chronic or intractable pain of neuropathic origin or severe chronic or intractable pain in which conventional therapeutic intervention and opiate therapy is contraindicated or ineffective

Sickle cell anemia

How many dispensaries and growing facilities will be licensed? The state will issue 27 dispensary licenses and 12 growing licenses during the first phase of the program.

How many dispensaries will be in our area? Each county in our region will receive one license in the first phase, while Montgomery County will receive two licenses and Philadelphia County will receive three.Allowed forms of medical marijuana:

Pill

Oil

Topical forms, including gel, creams or ointments

A form medically appropriate for administration by vaporization or nebulization, excluding dry leaf or plant form

Tincture

Liquid

How patients can participate

(The process is still being developed by the department. The department will update the public as the registration process becomes available.)

Register with the Health Department.

Obtain a physician's certification that they suffer from one of the 17 serious medical conditions.

Apply for a medical marijuana ID card and submit the application fee.

Obtain medical marijuana from an approved dispensary that has a valid permit issued by the department.

The process/requirements for growers/processors

No more than 25 growers/processors will be issued permits. No more than five grower/processors also may be issued a dispensary permit.

Apply for a permit with the department before growing/processing marijuana. The application assesses an applicant's fitness to operate a growing or processing facility.

Initial nonrefundable fee of $10,000

Permit fee of $200,000, which is refundable if the permit is not granted.

Proof of $2 million in capital, $500,000 of which must be on deposit in a financial institution.

For dispensaries

No more than 50 dispensary permits will be issued. Each dispensary can have no more than three separate locations.

Apply for a permit with the department before dispensing marijuana. The application must include an initial nonrefundable fee of $5,000.

A fee of $30,000, which is refundable if the permit is not granted.

Proof of $150,000 in capital.

Source: Pennsylvania Department of Health

Matthew Nojiri | Reporter

Reporter Matthew Nojiri covers the medical beat and the areas within the Schuylkill Valley and Conrad Weiser school districts for the Reading Eagle.